Matterhorn, the first product developed by Court Innovations, is a web-based platform that allows you to resolve court cases online. Combining University of Michigan Law School expertise with mobile and online technologies, Court Innovations is decreasing courts' expenses, increasing their case throughput, and enabling more citizens to get the justice they deserve.
At Court Innovations we asked ourselves:
Why do we have to wait in long lines to resolve straight forward cases such as many traffic tickets, small claims cases?
Why are our court systems jammed up, dealing with millions of outstanding warrants in every state across our nation?
Why can’t we utilize mobile technologies make the judicial system more efficient and effective?
How can people get fair access to justice if they cannot get to court?
Courts and the justice ecosystem are simply not designed to handle millions of minor cases per year, so we realized that in order to improve the system, we needed to innovate and create something new. University of Michigan’s Law Professor J.J. Prescott along with the rest of the Court Innovations team were driven to implement a meaningful, usable, and fair solution that would help not only the millions of citizens who are constantly forced to take off work just to be heard in court, but also to provide solutions to the court who are constantly drowning in caseload.
Success so far
In just over a year since launch, Matterhorn has shown significant success
Participation: already more than 10,000 citizen cases resolved with 20 courts on board
Time and cost savings of courts: Routine cases that used to consume more than 2½ hours of combined staff time (clerk, law enforcement, judge) are now completed in an average of 27 minutes.
Case closure times: Courts have benchmarks to close cases within certain timeframes to avoid having massive backlogs of open cases, to bring in outstanding fines and receivables in a timely manner, and to better serve the public. With Matterhorn, cases close in an average 14 days, compared to 50 days pre-Matterhorn.
Time to payment: 92% of cases collected upon within 30 days (compared to 51% without Matterhorn)
Default rates: less than 2% cases default (compared to rates ranging from 13 – 37% without Matterhorn)
Feedback: 92% of citizens indicated they fully understood the status of their case through the Matterhorn process
Check out our outcomes white paper and case studies for more details from Matterhorn-enabled courts:
We are operating in an expanding market with a national focus on access to justice. Key national stakeholders are already behind this initiative, including the U.S. Department of Justice, Chief Justices from all states' Supreme Courts, and the National Task Force coordinated by the National Center for State Courts.
We have proven our product through a rigorous analysis of first-year results using data provided through the Michigan State Court's Administrative Office. We continue to see strong results in solutions in court systems in Michigan and Ohio, as we move forward nationally. We are contracting with more courts, expanding our solutions to handle more types of cases, and reaching more citizens to resolve their cases. These are all key to our market expansion.
The market for Matterhorn solutions is all 15,017 state courts throughout the nation, and their equivalents around the world. In addition to resolving infractions and misdemeanors in the high volume, limited jurisdiction state courts, Matterhorn solutions are used in courts that handle civil and family court cases (including: District, Circuit, Municipal, Justice of the Peace, Specialty Courts).
Court Innovations’ Team brings a powerful combination of successful experience that includes: startup, innovation, software technology, product management and customer service.
MJ is a hands-on executive who has worked in many different industries leading startup initiatives with disruptive technologies. As VP of Product Management and Business Development for HealthMedia, MJ was a key member of the executive team that grew, sold, and transitioned the business to Johnson & Johnson. Other businesses lead by MJ include: CNC Connections, Arbor Ultrasound, Edington Associates, and ViaDerm. She has a BSEE from the University of Michigan and an MBA from Eastern Michigan University.
J.J. Prescott is a professor of law at the University of Michigan. He is a co-director of the Empirical Legal Studies Center and the Program in Law and Economics. J.J.’s research interests are in criminal law, sentencing law and reform, employment law, and the dynamics of civil litigation, particularly settlement. Much of his work is empirical in focus. He is the principal investigator of the U-M Online Court Project, which uses technology to help people facing warrants, fines, and minor charges resolve their disputes with the government and courts online and without the need to hire an attorney. J.J. earned his JD, magna cum laude, in 2002 from Harvard Law School and earned a PhD in economics from the Massachusetts Institute of Technology in 2006.
Saaed is an experienced, hands-on software architect and engineering executive and a founding member of several venture-backed startups. One of Saaed's startups was Jigsaw Data Corp., a crowd-sourced data service that was acquired by Salesforce.com. He has a BSEE and MS in Computer Engineering from the University of Michigan.
Tracy leads our product initiatives and brings strong product, content and research experience from HealthMedia (acquired by Johnson and Johnson) and Ideomed (now part of Spectrum Health). Previously she was an investigative journalist and is a University of Michigan Knight-Wallace Fellow. She has a BA in English Literature from Guilford College.
Customer Operations Director
Mike managed and helped build the Customer Services Team for the successful startup Rovi – the lead in acquiring the All Media Guide and TV Guide. He has a BS from Grand Valley State University.
Matterhorn solutions run on a cloud-based platform that is accessed through any device from mobile phones, tablets, or computers. In the courts and jurisdictions, we are involved with at this time, citizens do not pay an additional charge to resolve their case with Matterhorn. Courts and government agencies purchase Matterhorn software-as-a-service solutions two different ways:
Tier-based subscription model
Transaction-based model with minimums based on average participation outcome results.
Initial implementations in Courts require a reasonable setup fee that leverages Matterhorn’s configuration tools to get solutions up-and-running quickly.
Because of the impactful outcomes for our courts, additional solutions are added to most courts – usually within the first 6 months. This allows us to increase revenue per court, keep customer retention high, and reduce the cost per sale over time.
Be a part of Court Innovations
We have piloted the concepts, built the technology, established an initial customer base across courts in Michigan and Ohio, and evaluated the impact of online case resolution. Now we are expanding to reach courts and communities throughout the nation. With funds from this offering, we will:
Expand our sales and marketing initiatives to reach new customers.
Grow our customer services team to make sure our customers continue to be impressed
Bring new solutions to courts accross the United States.
This is an offering of Common Stock in Court Innovations Incorporated, which must raise at least $50,000 by March 13, 2017 at 4:00pm ET. If the offering doesn't reach its target, then your money will be refunded. The offering can issue additional securities to raise up to $499,195, its maximum.
If the offering is successful at raising the maximum amount, then the company's implied valuation after the offering (sometimes called its post-money valuation) will be:
5,205,153 shares× $0.62 per share= $3,227,195 implied valuation
This is the legal document filed with the SEC for a transaction that is exempt from registration under section 4(a)(6) of the Securities Act of 1933.
Understand the risks
Be sure to understand the risks of this type of investment. No regulatory body (not the SEC, not any state regulator) has passed upon the merits of or given its approval to the securities, the terms of the offering, or the accuracy or completeness of any offering materials or information posted herein. That’s typical for Regulation CF offerings like this one.
Neither Netcapital nor any of its directors, officers, employees, representatives, affiliates, or agents shall have any liability whatsoever arising from any error or incompleteness of fact or opinion in, or lack of care in the preparation or publication of, the materials and communication herein or the terms or valuation of any securities offering.
The information contained herein includes forward-looking statements. These statements relate to future events or to future financial performance, and involve known and unknown risks, uncertainties, and other factors, that may cause actual results to be materially different from any future results, levels of activity, performance, or achievements expressed or implied by these forward-looking statements. You should not place undue reliance on forward-looking statements since they involve known and unknown risks, uncertainties, and other factors, which are, in some cases, beyond the company’s control and which could, and likely will, materially affect actual results, levels of activity, performance, or achievements. Any forward-looking statement reflects the current views with respect to future events and is subject to these and other risks, uncertainties, and assumptions relating to operations, results of operations, growth strategy, and liquidity. No obligation exists to publicly update or revise these forward-looking statements for any reason, or to update the reasons actual results could differ materially from those anticipated in these forward-looking statements, even if new information becomes available in the future.
Court Innovations’ Valuation Method
On September 21, 2016, the Company secured a term sheet for a preferred stock financing with a pre-financing valuation of $3M, with the assumption that such pre-financing valuation includes an available option pool equal to 10% of the fully diluted shares outstanding of the Company, on a post-financing basis. This 10% option pool equates to approximately $260,000 of the $3M valuation.
At this time, the Company has not completed the preferred stock financing, and the option pool has not yet been increased, as described above. As such the current valuation without the increased option pool is approximately $2.7M. Factoring in the possible $500,000 crowdfunding campaign, our post-financing valuation estimate is approximately $3.2M.